Commercial Finance

Commercial Property Finance

Commercial property finance enables businesses to acquire, develop, or refinance real estate, with loans typically repaid through rental income or operational cash flow generated by the property. The terms of these loans are largely determined by factors such as the business’s revenue, profitability, and the income-producing potential of the property in question.

Larger, financially robust businesses with a proven track record generally secure more favourable loan terms, including lower interest rates and longer repayment periods. In contrast, smaller or less-established businesses may face higher interest rates due to perceived risk, but they can still access financing through specialist lenders who cater to niche markets or higher-risk projects. These lenders often provide tailored solutions to accommodate the unique needs of smaller operations.

Navigating the world of commercial property finance can be complex, given the broad range of options available. However, with the right guidance, a commercial mortgage can serve as a powerful tool for business growth, portfolio expansion, or wealth creation.

There are three distinct types of commercial property loans, each tailored to meet different ownership and investment objectives:

1. Investment-Focused Commercial Mortgages

These facilities are designed for professional investors acquiring commercial real estate with the intention of leasing the premises to third-party businesses.

From boutique retail units and industrial warehouses to office developments and logistics centres, commercial property represents a highly attractive asset class. With strong rental returns and potential for capital appreciation, these mortgages are ideal for those looking to enhance or diversify an existing portfolio.

2. Owner-Occupied Commercial Mortgages

For entrepreneurs and business owners seeking to purchase premises for their own operational use, an owner-occupier commercial mortgage offers long-term financial and strategic benefits.

Owning your business premises can:

• Eliminate rising rental costs

• Offer stability and control over your working environment

• Unlock future capital gains as the property appreciates

This structure is also suitable when acquiring an established business where the premises form part of the transaction.

3. Semi-Commercial Mortgages (Mixed-Use Finance)

Where a property comprises both commercial and residential components—such as a retail shop with flats above—a semi-commercial mortgage is typically required.

These loans cater to both investors and owner-occupiers and are assessed under criteria that differ from pure commercial or residential lending. Given their hybrid nature, semi-commercial mortgages may involve unique terms, tax implications, and regulatory considerations.

Tailored Advice. Strategic Outcomes.

Commercial property finance is rarely one size fits all. At Prestigious Property Finance, we take a consultative approach matching each client with the most appropriate lender, structure, and product for their individual goals.

Whether you're acquiring premises, expanding your portfolio, or financing a mixed-use asset, our experienced brokers are here to ensure you make confident, informed decisions every step of the way.